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Use the Following to Answer Questions

Question 206

Multiple Choice

Use the following to answer questions
Figure: Wheat and Autos in the United States and Korea
-(Figure: Wheat and Autos in the United States and Korea) According to the graph:


A) the United States should import cars and export wheat.
B) the United States should produce both products because it has an absolute advantage in both.
C) the United States should export cars and import wheat.
D) South Korea should produce neither product because it does not possess an absolute advantage.

Correct Answer:

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